According to information from Hoa Phat, the group achieved a consolidated revenue of 34,925 billion VND, marking a 33% increase in the fourth quarter of 2023. The post-tax profit also surged by 48% to reach 2,969 billion VND.
Producing over 2.1 million tons of crude steel in the fourth quarter, Hoa Phat recorded a 30% increase compared to the previous quarter. During this period, the consumption of construction steel products reached 1.2 million tons, while hot-rolled coil consumption stood at 813,000 tons.
The optimism in the steel market reflected in Hoa Phat's stock levels as well. The share of final products in stock reached its lowest level since the second quarter of 2022. With the increasing consumption, the value and proportion of raw materials in stock also rose. Although the revenue from raw materials did not reach the levels of the first three months of 2021, it continued to tighten within two months (62 days).
Hoa Phat management announced that despite the total steel consumption in 2023 being lower than the previous year, it reached its peak in both domestic and export markets in the fourth quarter of 2023, expecting this momentum to continue in 2024.
With the reopening of a blast furnace for maintenance and repair in October 2023, Hoa Phat has now reopened all blast furnaces. The seven blast furnaces located in Dung Quat and Hai Duong complexes have a total annual production capacity of 8.1 million tons.
This move by Hoa Phat will increase steel supply in Vietnam and intensify competition in the sector in 2024.
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